Iran and US reportedly nearing deal on nuclear program, sanctions, and Strait of Hormuz

A senior Iranian official told Reuters a final draft of the memorandum of understanding with the U.S. covered a ​range of issues, from Tehran’s nuclear work to reopening the ‌Strait of Hormuz and U.S. waivers on oil sanctions, with a final deal to be discussed in the 60 days following agreement by the two sides.

The Iranian official said the ​draft memorandum included the following:

STRAIT OF HORMUZ:

Iran immediately reopens the ​Strait of Hormuz to all commercial vessels, while the U.S. ⁠lifts its naval blockade on Iranian ports. The lifting of the U.S. blockade would ​begin immediately after the memorandum is signed and be completed within 30 days.

FINANCIAL:

The U.S. agrees not to impose any new sanctions on Iran until a final deal is reached.

Following a final agreement, all U.S. and U.N. sanctions on Iran would ​be lifted according to an agreed timetable.

The U.S. will waive oil sanctions ​on Iran for a specified period, allowing Tehran to sell oil and receive revenue.

The ‌U.S. ⁠agrees to release $25 billion of Iran’s frozen assets, including via direct cash transfers, cooperation among regional countries, and financial credit lines.

Washington, in coordination with its regional allies, would prepare a reconstruction and development plan for Iran, to ​be negotiated and agreed ​with Tehran within ⁠60 days.

NUCLEAR:

Tehran agrees that it will neither produce nor acquire nuclear weapons.

Pending a final agreement, Iran would maintain ​the current status of its nuclear programme, refraining from further ​uranium enrichment ⁠and expansion of nuclear facilities.

The United States agrees to allow Iran to dilute its stockpile of highly enriched uranium on Iranian soil under a future comprehensive ⁠agreement.

Iran’s ​nuclear programme, uranium enrichment activities and mechanisms ​for handling its stockpile of highly enriched uranium would be negotiated within 60 days of the memorandum ​and addressed in a final agreement.

"Complete halt to military operations against Iran and Lebanon"

The draft deal also includes a complete halt to military operations against Iran and Lebanon and the prevention of any new military actions, says Iranian state media.

A portion of Iran's frozen assets would be released at the beginning of the agreement's implementation, along with the suspension of certain restrictions and economic sanctions, according to these same reports.

One of the main axes of the agreement is facilitating the passage of Iranian commercial ships and reducing maritime restrictions, along with removing existing obstacles in the path of international transportation.

A deal could be reached within the next 24 hours

Iranian state media reported on Sunday that Tehran has not yet reached a final decision on the proposed peace deal to end the war between the United States and Iran.

US President Donald Trump and Pakistan, which has acted as a key mediator in the peace talks, had signalled on Saturday that a deal could be reached within the next 24 hours.

"The Deal is scheduled to get signed tomorrow, and immediately after it is signed, the Hormuz Strait is open to all," Trump wrote on his Truth Social account on Saturday.

Pakistan's Prime Minister Shehbaz Sharif had said earlier in the day that a deal was closer "than ever before".

"With finalisation likely expected in the next 24 hours, Pakistan is preparing for the electronic signing of the peace deal immediately after, followed by technical level talks next week," he wrote on X.

A Qatari delegation arrived in the Iranian capital on Sunday as negotiations continued.

The Tasnim news agency said the delegation would "examine the latest developments related to the diplomatic process".

Any deal hinges on Tehran agreeing to fully reopen the Strait of Hormuz, a vital oil and gas transit chokepoint, and to end its nuclear weapons program.

Trump said Saturday that a deal would be a "wall to no nuclear weapon".

"Hopefully, this process will all work out quickly, easily, and smoothly. If it doesn’t, we have the ultimate alternative, hopefully never to be used again," Trump warned.